Korea's OLED Capital Expenditure 7.2 Billion in 2012

South Korea is the world's most active region for OLED development. In addition to the Samsung Mobile Display (SMD), which has expanded its investment in AMOLED panels year by year, LG Display (LGD) has also officially launched an AMOLED panel investment plan since 2011. In this context, 2011 The South Korean OLED capital expenditure will be 5.9 trillion won (about 5.2 billion U.S. dollars) in scale, and in 2012 it will look at 8 trillion won (about 7.2 billion U.S. dollars).

South Korea's OLED capital expenditure is about 70% for equipment investment. To reduce its dependence on overseas equipment plants, South Korea's equipment manufacturers have used their accumulated technical capabilities in semiconductors and LCDs to actively expand into the AMOLED field. According to the AMOLED process, South Korea can supply TFT arrays, organic vapor deposition, packaging, Cell and other process equipment.

In order to enhance South Korea's self-made AMOLED device technology, SMD and LGD have not only continued to develop together with South Korean equipment manufacturers, but have also strengthened their cooperation through capital injections. For example, SNU-invested South Korean factory SNU Precision has developed large-size AMOLED panels. Vertical evaporation equipment, and thin film packaging equipment.

With SMD gradually procuring AMOLED equipment from Korean factories, the self-sufficiency rate of its 5.5-generation line (1,300 x 1,500mm) has increased to 60% (based on purchase amount). Not only that, the 8-generation line of LGD is under construction. (2,200×2,500mm) will also target 50% of equipment self-sufficiency, as the government of South Korea has accelerated its 80% self-sufficiency rate of AMOLED equipment.

SMD has invested in 3.4 trillion won (approximately US$3.01 billion) to add the second Article 5.5 line in March 2011 after investing in the first line of the 5.5-generation AMOLE=悸O product line in 2010, and it plans to The AMOLED panel reinvested 5 trillion to 7 trillion won (approximately 4.5 billion to 6.4 billion U.S. dollars).

On the other hand, LGD's AMOLED investment plan will focus on large-size panels and will no longer invest in small- and medium-size AMOLED panels. In 2011, it invested 500 billion won (approximately 450 million US dollars) to start upgrading its existing 8-generation TFT production line. The AMOLED production line with 8,000 monthly production capacity is expected to reinvest more than 1 trillion won (about 990 million U.S. dollars) in 2012, mainly because the total capital expenditure of LGD in 2012 will probably decrease to 2 trillion won (about 1.9 billion U.S. dollars). However, the proportion of AMOLED accounts for more than 50%.

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